CHICAGO | Chicago Spire | 610 M / 2,000 FT | 150 FLOORS | NEVER BUILT

[cbotnyse]

Originally Posted by 10023

I can. I know people paying more than that in New York.

Granted Chicago isn't New York, but their buildings aren't the Spire, either.

but in NY that price is comparable to other units. You think people will pay at least a $2000 premium just to live in the Spire? If someone could afford to do that, they should just buy a unit.

[10023]

Originally Posted by cbotnyse

but in NY that price is comparable to other units. You think people will pay at least a $2000 premium just to live in the Spire? If someone could afford to do that, they should just buy a unit.

Not necessarily. Sometimes people like to keep their capital in something other than real estate. There are people who rent for $20,000+ per month in Manhattan. One would assume these are people who could afford to buy if they so chose.

Also, you're neglecting the market for corporate apartments. Most companies lease rather than own their real estate, and it wouldn't surprise me if this extended to corporate apartments as well. They'd rent for $6,000-$7,000 per month before they'd dump $1 million into real estate assets, because their cost of capital exceeds this 7.5%.